Taking note of the United States recoupment of natural gas,
most specifically from shale, the EU is pressing its Washington counterparts to
include energy exports in the Transatlantic Trade and Investment Partnership
(TIPP) trade pact currently being negotiated. The pact will account for half of
the world’s economy covering goods and services to include everything from
agriculture to finance.

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Currently Europe obtains most of its gas from Russia who has
historically kept prices high.

European negotiators are seeking relief from the U.S.
and believe there is no reason for the U.S. to withhold this highly sought
export. For Europe, lifting the export restrictions offers a cost effective
solution for lowering prices without penetrating their own geological reserves
saving social, ecological, geological, financial and governmental resources.

According to the Brookings Institute, US gas exports could
amount to 6 billion cubic feet or around 170 million cubic meters per day—half
of Britain's daily demand in the winter by the end of the decade.

But for the U.S. concerns are that such a deal drives prices
up domestically causing lawmakers to want to continue to maintain control of
its energy resources. Europe emphasizes that the goal of trade talks are to
drive economic growth on both sides of the Atlantic, ultimately making business
better for all.

"Because US and
European companies, including energy companies, have invested heavily on both
sides of the Atlantic, US and EU negotiators are essentially representing the
same company interests," said Peter Chase, vice president, Europe at the
US Chamber of Commerce in Brussels. "They can take a more collaborative
approach."

The U.S. however, views energy resources in general as strategic assets whose control must be
monitored and maintained and is more likely to integrate energy export controls
more conservatively.

European refining
industry has particular hopes for the trade talks where trade in refined oil
products is not subject to US legal restrictions. High demand for gasoline in
the United States during its summer driving season and a shortfall of diesel
refineries in Europe have meant the European Union imports U.S. diesel and
exports European gasoline.

In 2012, the U.S.
refining industry exported 335,000 barrels per day (bpd) of diesel to the
European Union and the EU refining industry exported 349,000 bpd of gasoline to
the United States equating to $32 billion.

It argues that trade
is under threat because of draft EU legislation to label products refined from
tar sands as more polluting than from conventional crude because of the amount
of energy required to separate the oil from the tar-like deposits.